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Warner Music Group To Form Digital/Mobile Label

Warner Music Group has announced plans to form a digital label, tentatively named Cordless, which will release songs exclusively for download over the internet or to mobile phones. It’s a belated adaption to the decline of the album… not necessarily the CD, I think. As the article points out most albums have no more than three hit tracks, with the rest being regarded as “filler” by all but the die-hard fans and are simply there to justify the album price. With the advent of individual downloads people are less willing to pay for an album when they just want a single song. This affects the way the new label will do business….
“An artist is not required to have enough material for an album, only just enough to excite our ears,” Bronfman said in his speech. “Rather than releasing an album every couple of years, every few months the label will release ‘clusters’ — three or more songs — by an artist.”
It will see a wider range of music too: “Warner’s e-label will be headed by noted music figure Jac Holtzman, a technophile who pushed early adoption of the compact disc, the LaserDisc and now can be spotted in Warner’s New York offices with a flash drive dangling from his neck. Since his e-label starts with modest production budgets of about $30,000, rather than millions, Holtzman is free to sign more eclectic acts, like Devo bassist Jerry Casale’s new group, Jihad Jerry and the Evildoers.” (via Ringtonia)
Related stories:
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Can Cell Phones Save the Music Business?
Universal Music Group Gets A PhoneOf Its Own